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Brookfield Real Estate Income Trust (REIT): Investor Loss Investigation

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Updated on: December 19, 2025

National investment loss lawyers KlaymanToskes is investigating brokerage firms and financial advisors who unsuitably recommended investments in Brookfield Real Estate Income Trust to their customers. Our law firm believes many investors may have been misled regarding the risks and liquidity issues associated with Brookfield Asset Management’s private placement offering.

If your financial advisor recommended an unsuitable investment based on your investment profile, or disregarded your risk-tolerance when making investment recommendations, you may be entitled to a financial recovery through FINRA arbitration.

If you suffered losses in Brookfield Real Estate Income Trust, or any other investments due to unsuitable recommendations by your brokerage firm or financial advisor, contact securities attorney Steven D. Toskes to discuss your potential recovery options at (888) 997-9956 or investigations@klaymantoskes.com for a free and confidential consultation. We do not collect attorney’s fees unless we are able to obtain a financial recovery for you.


What is Brookfield Real Estate Income Trust?

Brookfield Real Estate Income Trust is a non-traded real estate investment trust (REIT) sponsored by affiliates of Brookfield Asset Management, a global alternative asset manager with significant exposure to real estate, infrastructure, and private credit.

The trust provides investors with exposure to U.S. commercial real estate assets, including properties across multiple sectors. Because the REIT is not publicly traded, investors cannot sell shares on an exchange and must instead rely on limited and discretionary redemption programs for liquidity.

Brookfield Real Estate Income Trust is structured as a private placement, meaning it is subject to fewer disclosure requirements than publicly traded REITs. As a result, investors often rely heavily on representations made by brokers and offering materials when deciding whether to invest.

Market Conditions and Valuation Concerns for Non-Traded REITs

Industry analysts and financial publications have raised concerns that non-traded REITs may be significantly overvalued, particularly those with exposure to commercial real estate sectors under pressure, such as office properties.

  • In May 2023, industry reporting warned that some non-traded REITs could be overvalued by as much as 30%.
  • Rising interest rates, reduced property transactions, and record-high office vacancy rates have put downward pressure on commercial real estate valuations.
  • Public real estate benchmarks have declined while broader equity markets have remained relatively flat or positive, highlighting a potential disconnect between internally reported NAVs and market reality.

For investors in Brookfield Real Estate Income Trust, these conditions raise concerns about whether reported valuations accurately reflect what assets could fetch in a stressed or forced-sale environment.

Brookfield Real Estate Income Trust Investment Losses

Potential conflicts of interest may arise when issuers incentivize brokers/investment advisors with substantial commissions to promote their financial products. A problem often associated with alternative investment recommendations is the high sales commissions brokers typically earn for selling these investments, which can be as high as 15%. A representative that recommends investments for the purpose of being compensated through increased commissions, and enriches themselves rather than benefiting the client, is violating securities laws.

Can I File a Lawsuit to Recover Losses?

To recover investment losses, you do not go through the traditional court system with a lawsuit. The only remedy is through a FINRA arbitration, a specific process designed for these types of disputes. This process involves presenting your case to a panel set by the Financial Industry Regulatory Authority (FINRA), not a courtroom. This approach is streamlined and focused on investment disputes, making it a suitable and effective way for investors to seek compensation for losses caused by financial advisors or brokerage firms.

What is a FINRA Arbitration Claim?

FINRA (the Financial Industry Regulatory Authority) is a self-regulatory organization that oversees brokers and brokerages. In the event of a dispute between an investor and their financial advisor, investors can choose to file a FINRA arbitration claim. FINRA is overseen by the Securities and Exchange Commission (“SEC”).

The arbitration process is designed to be much faster than the court system and allows both parties to present their case before a panel of arbitrators. The arbitrators will then decide how to resolve the dispute, including ordering the advisor to pay damages for any losses suffered by the investor.

If you suffered losses in Brookfield Real Estate Income Trust or other investments, you are encouraged to contact attorney Steven D. Toskes, at 888-997-9956 or by email at investigations@klaymantoskes.com to discuss potential recovery options. We do not collect attorney’s fees unless we are able to obtain a financial recovery for you.

Signs Investors Should Look Out For About Their Brokerage Accounts

As an investor, there are signs that you should look out for if you believe you have a claim against your broker/advisor for unsuitable investment recommendations in Brookfield Real Estate Income Trust. These signs could potentially indicate misconduct, negligence, or investment fraud. Investors are encouraged to contact our firm immediately if you have experienced any of the following:

  • You have substantial losses in your investment accounts
  • You received a call, email, or other communication from your broker’s supervisor or manager regarding your portfolio
  • Your broker misrepresented investment opportunities, or failed to disclose details about investments
  • You notice unauthorized transactions in your investment accounts
  • Your broker is not returning your calls or emails
  • You filed a complaint with your brokerage firm that has not been resolved
  • You see a mistake on your statement, or receive a fraudulent statement

Some investors have close relationships with their brokers due to the time and trust built over the course of their investment relationship. However, it is crucial to remember that financial decisions should be based on careful analysis and due diligence rather than solely relying on personal relationships.

Engaging the services of an experienced securities attorney to evaluate your specific circumstances is strongly advised. At KlaymanToskes, our team of experienced securities attorneys has a deep understanding of this complex area of law, allowing us to provide invaluable insight and tailored guidance that directly addresses your individual needs.

If you purchased unsuitable Brookfield Real Estate Income Trust investments, or any other unsuitable investments through your financial advisor/brokerage firm, and suffered significant losses, contact KlaymanToskes at 888-997-9956 or fill out a short contact form for a free and confidential consultation. ​​We do not collect attorney’s fees unless we are able to obtain a financial recovery for you